How Old Are Companies When They Fail?

Chris Bergin of Cathro & Partners analyses ASIC data covering more than 56,000 companies entering external administration between July 2021 and September 2026, finding that the median company was seven years old at appointment, with failures peaking at age four and 54% occurring among companies aged three to ten, while noting that hospitality businesses fail earlier than manufacturing and agricultural companies, creditor-driven appointments disproportionately affect younger businesses, and the age profile has remained remarkably consistent despite a near tripling of insolvency appointments since FY22.

Read more.